With massive growth of 62% in the fourth quarter of 2019, Alibaba rose to fourth place in the global cloud market. If this development continues, the Chinese titan could shake the American giants Amazon, Microsoft and Google…
Currently, the global cloud market is largely dominated by three American giants: Amazon Web Services, Microsoft, and Google . However, in the near future, the established order could be upset by another titan from China: Alibaba .
In the fourth quarter of 2019, Alibaba Cloud experienced growth of 62% compared to the same period in 2018. This impressive figure was just revealed when the financial results of Alibaba Group Holdings were announced on February 13, 2020.
In total, the cloud brought $ 1.54 billion to the Chinese giant over the last three months of 2019. This strong growth would come from both its activities in the public cloud and in the hybrid cloud.
These massive revenues allow Alibaba to rise to fourth place in the global cloud market , behind Amazon, Google and Microsoft. The firm now intends to pull out of the game, in particular via the recent obtaining of its Trusted Partner Network (TPN) certification.
This certification is supposed to inspire confidence in companies in the entertainment industry, by assuring them that their movies and TV series hosted on the Cloud will not be broadcast in advance due to leaks. In December 2019, Alibaba also modified its conditions of use with the availability of its Elastic Compute service revised upwards to 99.995% .
Although this Cloud provider is based in China and the majority of its customers are in Asia, Alibaba Cloud is established internationally with 20 regions of Data Centers around the world including Europe and the United States .
Alibaba: between Cloud and e-commerce, Amazon’s Chinese rival would be able to dominate the world
As a reminder, the Alibaba group also manages a vast e-commerce platform . Now, this platform is also based on the Alibaba Cloud following a transition made during the fourth quarter.
Thanks to the cloud, Alibaba was able to face “11.11”, the famous Chinese Black Friday which generates even more income than this American day dedicated to shopping. During that day, more than 544,000 orders per second were placed during the peak period.
The Cloud infrastructure made it possible to process 970 petabytes of data without any disruption and to resist six billion cyberattacks in 24 hours. The firm hopes that this feat will inspire confidence in the Cloud for other companies and stimulate its adoption and by extension its growth…
However, Alibaba now faces an important threat: that of the Sars-Cov-2 coronavirus . Recall that many companies are impacted by the covid-2019 epidemic currently raging in China, and Alibaba is no exception.
The firm has also qualified this coronavirus of “black swan” impacting all Chinese companies . It confirms that the epidemic has a major impact on the Chinese economy and could affect the world economy. This represents “a short-term challenge for the development of Alibaba“…